New Delhi November 6 : A government panel on Wednesday recommended raising the reserve price for mobile spectrum auctions by 15 % more than the value advised by a federal regulator in the 1800 MHz band, and by 25 % within the 900 MHz band.
The panel, made of civil servants, has recommended permitting mergers with a combined market share of up to 50 %, a senior government official told reporters.
India plans to conduct its next mobile airwave auction in January and has estimated revenue of Rs. 11,000 crore from the sale of airwaves.
The telecommunication regulator has suggested a sharp cut in the auction reserve costs after most carriers stayed away from bidding in the last 2 auctions saying the reserve price was too high.
A ministerial panel and the cabinet will finalize the new reserve costs.
Nation is in the process of finalising rules for mergers and acquisitions in the telecommunications market of around a dozen players, and the government has said previously it ‘ll ease rules to assist consolidate the crowded market.